Everything as a Service
A new era of value delivery
Several forces are reshaping the business landscape and changing the basis of which companies compete. Today, consumers place less significance on product ownership and prefer to opt for access and experiences. They also desire personalisation, and seek out empowerment in the co-creation of business offerings. Correspondingly, business customers are adapting to be asset-light in the face of the declining return on assets, and rely on scalability and flexibility to stay agile in today's fast-evolving environment. In light of these demand shifts, and faced with declining profit margins brought about by globalization and price transparencies, companies are leveraging Services to differentiate beyond product and price.
The definitional difference between product and services goes beyond the traditional lines of tangibility. Instead, it is a continuum of features where value is delivered from producer to user. Whether targeting consumers (B2C) or businesses (B2B), companies have been seeking to “servitise” their products and move away from commoditised offerings, to be more engaged in the end-to-end customer journey, provide greater customisation and build stronger customer relationships.
This report examines the pivot towards a Service Economy, and how this phenomenon is gaining momentum with exponentially improving digital infrastructure, ubiquity of customer data, real-time analytics and ecosystems formation. It details 9 disruptive approaches - a combination of which businesses can take to create a service-oriented value proposition. The report also reviews selected companies (across industries) that have augmented their offerings with "Next-Gen" Services, and tries to provide inspiration to readers on taking the right moves to stay relevant in the future Services battlefield.